Clean Coal Technologies Inc (OTCMKTS:CCTC) Burns Through Another 52-Week High
Last week, Clean Coal Technologies Inc (OTCMKTS:CCTC) was fluctuating between $0.25 and $0.30 and it seemed pretty happy with the status quo. It had occupied these levels for quite some time and the volume wasn’t really strong enough to push the stock higher. Then, on September 3, the company issued a press release and things changed all of a sudden.
The market’s reaction wasn’t exactly instantaneous, but the volumes gradually picked up and a promotional article from an outfit called Baystreet (who expect to receive 1.1 million shares in exchange for their so-called research) really heated things up yesterday. In a matter of six and a half hours, CCTC managed to rack up a dollar volume of more than $550 thousand and after jumping by a whopping 40%, it closed the day at more than $0.60 per share for the first time since April 2014.
But what was it about last week’s press release that got investors so excited?
CCTC announced a new partnership with a company called Diamond Energy Group LLC. Diamond will receive an option to license CCTC‘s Pristine M technology for the state of Wyoming and the two enterprises will also create a joint venture. CCTC, on the other hand, will get a licensing fee, some royalties, and a total of $1.3 million under a restructured note agreement.
The management team said that they’re going to use the cash in order to tidy up the balance sheet a little bit. A balance sheet that we know nothing about, unfortunately.
The company started having difficulties filing its reports on time ten months ago when instead of publishing it on November 15, 2014, CCTC filed the Q3 of 2014 report on Christmas Eve. Since then, we have seen two notifications of late filing – the one for the 2014 10-K and the one for the Q1 of 2015 report. Neither of these has actually come out and the management team couldn’t even be bothered to file an NT 10-Q for the second quarter statement.
They do understand that the financials are missing, though. And they do know that many investors are feeling uncomfortable which is somewhat understandable considering the fact that the most recent figures, the ones for the third quarter of last year, aren’t what you’d call encouraging.
That’s why, they issued a press release on September 1 and they said the they apologize about the delay. They assured everybody that they’re working with their auditors and that all the missing reports should be out within the next fifteen business days.
So, if what they’re saying is true, retail investors like you will finally be able to make a decision that is based on something more than hopes and dreams before the end of the month. And that’s a good thing because about a year ago, when we last saw CCTC reporting its financials, we were left with some major questions around the potential dilution underlying the convertible debt. The company is now saying that it is paying off some of the notes with cash but there’s no way of knowing how many have already been converted.
The really niggling thing is, while the management team’s promises sound optimistic enough, they don’t always materialize. The lack of up-to-date reports, for example, has been a hot topic for quite some time and earlier this year, the company promised during a webcast that the missing 10-Q’s and 10-K’s will be out “shortly”. They did that almost four months ago.
